Let me start with a loud proclamation, I believe it makes sense  for distributors to have a value-add shop.  I see value-adds as a competitive differentiator.  They provide the distributor with an easy way to sell logistically focused customer convenience, programming expertise, multiple part subassemblies, and when appropriate, complete solutions.  In the case of products like linear bearings, bus bar, strut, and T-slot extruded aluminum systems, work done in the shop enables smaller customers to apply the product without purchasing the specialty tools required to create a customer solution of their own.  With all these great things in mind, why start an article with the heading “Does your shop cost your company new business?”   In the past three or four weeks, I have come across at least a dozen examples of distributor shops serving as a hindrance rather than an accelerator of business.  All but two of these came from sellers.   The situati...

New salespeople often get “stuck” in the purchasing department.  We previously mentioned Value Engineering as a tool to break free from the purchasing trap.  However, after visiting the topic with a few experienced hands, has become clear we needed to better outline what we have in mind as a selling tool.  Without further ado, allow me to share the proper definition.  Borrowing from Wikipedia : Value engineering (VE) is a systematic method to improve the "value" of goods or products and services by using an examination of function. Value, as defined, is the ratio of function to cost. Value can, therefore, be increased by either improving the function or reducing the cost. It is a primary tenet of value engineering that basic functions be preserved and not be reduced as a consequence of pursuing value improvements. Value Engineering for the solution-based salesperson is the review of existing purchases against new products and technologies.  The process shou...